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Valuing Changes in Time Use

2019

This paper reviews the literature on the monetary value of time in low- and middle-income countries, focusing on time spent in the informal sector; i.e., for which no compensation is received. Valuing changes in time use is often a critical element of economic analyses of development projects, which may affect the time spent in activities such as collecting water or traveling to health clinics. The authors find support for a commonly-used benchmark of 50% of after-tax wages. They also describe a relatively simple approach for conducting stated preference research to explore the values within a specific context.

 

Source:

Whittington D, Cook J. Valuing Changes in Time Use in Low- and Middle-Income Countries. Journal of Benefit-Cost Analysis 2019; 10 (S1): 51-72. https://doi.org/10.1017/bca.2018.21